Multinational healthcare provider and hospital operator Ramsay Health Care of Australia has indicated its plans to purchase U.K.-based Elysium Healthcare for $1.03 billion, in a bid to increase its presence in the mental health services space.
As the pervasiveness of COVID-19 persists, the associated strain the virus has placed on the global population's mental health cannot be ignored. With this heightened commonality leading to less stigma around seeking help, mental health service demand has begun to significantly outpace supply. By 2023, the British government is set to shell out 2.3 billion more pounds a year for mental health services proliferation. Ramsay Chief Executive Officer Craig McNally said, "The acquisition of Elysium will expand Ramsay's patient pathways into the 15 billion pound U.K. mental health market at a time when more and more people are seeking support for mental health, learning difficulties and neurological issues."
In addition to incorporating 72 sites into its portfolio, Ramsay will be able to further add to Elysium's dealings with the state-run National Health Services. Acquiring Elysium has the potential to generate 5 million pounds in savings for Ramsay per year. For Ramsay, this deal is hopefully more promising than its failed attempt from around six months ago to buy independent hospital group Spire Healthcare—at a higher price.